Wednesday, June 8, 2011

The First Volley in the Attack on Bitcoin

Here's Reuters:

Democratic Senators Charles Schumer of New York and Joe Manchin of West Virginia wrote to Attorney General Eric Holder and Drug Enforcement Administration head Michele Leonhart in a letter that expressed concerns about the underground website "Silk Road" and the use of Bitcoins to make purchases there.


Watch Charles Schumer's press conference here.

Here's a Fox affiliate:

Both of Missouri's U.S. senators tell Fox 2 they are joining other federal lawmakers who want a drug-dealing web site shut down.


I assume that's Roy Blunt and Claire McCaskill? I can't find anything else on them weighing in.

We do know that the CIA is at least aware of bitcoin too..

Some reactions to this warning shot, and some advice:

You probably have a little more time before the attacks come (maybe a couple of months?) to acquire bitcoin with cash – and there are profits in speculation to be made until then but, when the raids come, expect a sharp correction before exchange values move on to new highs over a longer period of time. What you do not want to do is be involved as an “exchange service” conducting exchanges in and out of national currencies and you definitely do not want to have your money sitting in the exchanger’s account when they are raided and shut down.


Of course, having many reliable exchanges is the key (think many torrent search sites). Here's a brand new one.

No comments:

Post a Comment